Gul Ahmed’s profits surge by 68% on account of rise in other-income

October 2, 2019 (MLN): Gul Ahmed Textile Mills Ltd (GATM) has shown remarkable progress over the year as its consolidated profits for the year ended June 30, 2019 grew by 68% over the corresponding period of last year due to an outstanding improvement in other income during the period.

According to an official statement on the company’s financial earnings for the period, the company’s revenue collection surged by 27.10%. However, the cost of sales up with the same proportionate of 26.57% increased its gross profit by 29.06%, from Rs.9.8 billion to Rs.12 billion.

Although the company’s overall expenses and finance costs increased by 20% and 51.8% respectively but the company’s other income soared by around 146.7%, from Rs.473 million to Rs1.1 billion, YoY which lifted its net earnings.

Other than this, GATM’s basic and diluted earnings per share have been reported at Rs.10.80 per share while those recorded last year were Rs.6.06 per share.

The company's Board of Management announced final cash dividend for the financial year ended June 30th, 2019 at the rate of Rs.2.50 per ordinary share of Rs.10 each i.e. 25%. Moreover, bonus shares in the ratio of one for every five shares held i.e. 20% per share.

Consolidated Profit and Loss statement for the year ended June 30, 2019 ('000 Rupees)

 

 

Jun-19

Jun-18

% Change

Sales

 59,189,652

 46,570,318

27.10%

Cost of sales

 (46,431,611)

 (36,685,081)

26.57%

Gross profit

 12,758,041

 9,885,237

29.06%

Distribution costs

 (4,889,571)

 (4,052,193)

20.66%

Administrative cost

 (3,191,519)

 (2,687,136)

18.77%

Other operating cost

 (311,783)

 (208,043)

49.86%

 

 (8,392,873)

 (6,947,372)

20.81%

 

 4,365,168

 2,937,865

48.58%

Other income

 1,167,995

 473,436

146.71%

Operating profit

 5,533,163

 3,411,301

62.20%

Finance costs

 (1,502,649)

 (989,613)

51.84%

Profit before income tax

 4,030,514

 2,421,688

66.43%

Income tax

 (400,282)

 (261,307)

53.18%

Profit after income tax

 3,630,232

 2,160,381

68.04%

Earnings per share – basic and diluted (Rupees)

 10.80

 6.06

 

 

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Posted on: 2019-10-02T11:06:00+05:00

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